IT raises privatization premium of nearly 55%, private equity fund CVC will enter

Financial News

Written by: Huang Jie

2020-12-06 18:43

Last update date: 2020-12-06 19:26

The well-known local fashion stock IT (0999) announced privatization at a price of 3 yuan per share, a 54.6% premium to the closing price of 1.94 yuan before the suspension.

The company will resume trading at 9 am tomorrow (7th).

The IT notice stated that on December 5, 2020, the offeror (founder holding company and private equity fund CVC) entered into an implementation agreement with the company. According to this, the parties have agreed to do their best to implement the proposal within a reasonable range, thereby In accordance with Article 99 of the Company Law, the company was privatized by means of an agreement arrangement.

Major shareholders hold 63.61%

At present, the Founder Group holds approximately 63.61% of IT, which is held by the company's executive director, chairman of the board of directors and chief executive officer Shen Jiawei, and company's executive director and creative director Shen Jianwei, while disinterested shareholders hold 36.39%.

According to the plan, the founder's plan shares held by the founder group will be cancelled at the founder's cancellation price, and all non-founder plan shares will be cancelled at a cancellation price of 3 yuan per non-founder plan share that should be paid in cash .

CVC's privatization will enter the company and hold nearly half of the shares

After the successful privatization, the founder holding company held by Shen Jiawei and Shen Jianwei and the CVC holding company under the CVC fund will hold approximately 50.65% and 49.35% of IT respectively.

The offeror has appointed Morgan Stanley as its financial adviser on the proposal.

The cash required for the full implementation of the proposal is about 1.306 billion yuan, which will be provided by the private equity fund CVC fund.

IT suspended trading in the afternoon pending publication of inside information matters in accordance with the "Hong Kong Code on Takeovers and Mergers"

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IT privatization